Washington, D.C.--Last week, President Obama gave a speech to the American Medical Association in which he made clear that while frivolous lawsuits are major drivers of excessive health care costs, he would oppose any efforts to restrict potentially unlimited “jackpot” damage awards.Yesterday, Obama addressed another group, the American Trial Lawyers Association, and further defined his plan to reform the health care system.
“We all know the threat of bankrupting lawsuits in our ‘jackpot justice’ system causes doctors to engage in wasteful ‘defensive medicine’ in which they prescribe drugs and order extra medical tests that aren’t necessary in order to reduce their risks of liability,” said the President. “That’s why I’m proposing that medical services and operations be performed right in the courtroom, where lawyers can provide advice to doctors and patients in real-time, limiting litigation transaction costs.”
Obama said his plan would free up hospital beds and produce savings that could be used to help cover the high costs of defensive medicine.
“Under my plan,” said Obama, “medical records could be accessed instantly by both doctors and lawyers for both sides in the inevitable litigation,” avoiding duplication costs. “And already-empaneled juries could immediately render verdicts that reflect the emotions of the moment following an adverse health event, regardless of any fault on the part of the doctor.”
Administration officials added that trial lawyers could collect their one-third contingency fees from damage awards right there in the courtroom, while doctors would only have to walk a short distance to bankruptcy court down the hall.
“It’s time to put the ‘Doctor’ back in ‘Juris Doctor’,” said Obama, concluding his remarks to thunderous applause.
Associated articles: http://online.wsj.com/article/SB124511987247017719.html; http://cboblog.cbo.gov/?p=293; http://commongood.org/learn-reading-cgpubs-opeds-15.html;
http://commongood.org/learn-reading-cgpubs-polls-6.html; http://www.nber.org/papers/w5466
